Senator Portantino’s Pasadena Affordable Housing Bill Signed into Law

Wednesday, September 28 2022

For Immediate Release: September 28, 2022

Contact: Lerna Shirinian, (818) 409-0400

 

Senator Portantino’s Pasadena Affordable Housing Bill Signed into Law

Sacramento, CA - Senate Bill 959, authored by State Senator Anthony J. Portantino (D – Burbank), was signed into law today by Governor Newsom.  With the SR 710 freeway gap between Alhambra and Pasadena no longer on the table, the City of Pasadena expressed a need for legislative changes to the current property sales process. In response, Senator Portantino authored SB 959, a bill that would allow the City of Pasadena to purchase, rehabilitate, maintain, and create more affordable housing.  The bill follows up on the Senator’s SB 7, which authorized the City to negotiate with Caltrans for the relinquishment of the 710 Freeway stub.  The City of Pasadena recently capitalized on that authority and now has control over the land.

“SB 959 allows for a more direct intervention by the City of Pasadena in purchasing properties and allows it to increase the supply and quality of affordable housing,” stated Senator Portantino.  “All current Caltrans tenants should have the ability to purchase the homes they have been renting for decades and this legislative effort in the SR 710 corridor reflects that value.  With SB 959 signed into law, Pasadena can rightfully gain back control and ownership of many properties.”

California Department of Transportation (Caltrans) currently owns approximately 460 properties in the SR 710 corridor.  These properties were originally purchased in the corridor with the intent to eventually remove the structures and construct an extension to the existing SR 710 freeway.  Senator Portantino personally negotiated the end of the 710-freeway threat with the Brown administration and authored the bill that eventually terminated the freeway completion.  Early in 2017, Caltrans began dispensing properties as required by SB 416 and the Roberti Act, which govern the sale of surplus property and outline the priority order of who can purchase.  As referenced above, in 2019, the Governor signed SB 7 authored by Senator Portantino, which ended the SR 710 extension project and gave Pasadena standing to purchase the remaining stub.

Specifically, SB 959 allows the City of Pasadena to purchase unoccupied properties at their acquisition price, while allowing fair market value tenants an opportunity to purchase first.

SB 959 would:

  • Offer to current tenants of single-family dwellings the opportunity to purchase the property first.
  • Allow Pasadena to purchase and sell unoccupied homes at fair market value and use the funds generated to reinvest in affordable housing in Pasadena with a 3 to 1 ratio.
  • Require Pasadena to create 3 affordable housing units: either build new units or acquire rental units with a 55-year covenant for rentals or 45 year covenant for homeownership.

"SB 959 will provide the City of Pasadena an important tool to effectively address the affordable housing needs of our community.  As we work to reconnect this part of Pasadena, we will now be able to purchase, rehabilitate, and create more affordable housing for our community. We are grateful to Senator Portantino for his tenacious leadership and partnership on behalf of, and with, our City," stated Pasadena Mayor Victor Gordo.

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